​Samsung's memory business leads record Q1 profits

Samsung Electronics' semiconductor business has propelled the company to a record 15.64 trillion won operating profit for the first quarter of 2018.

Samsung Electronics has posted a record operating profit of 15.64 trillion won for the first quarter of this year.

The all-time-high, a rise of 58.03 percent from a year ago, was propelled by its semiconductor business, especially in memory, which contributed 11.55 trillion won. The first quarter is conventionally an off-season for memory chips but high demand from servers and graphics led growth, the company said.

Its logic chip and contract chip-making businesses also saw strong demand for chips used in smartphones and cryptocurrency mining, Samsung added. Last year in the fourth quarter the chip business posted 10.9 trillion won, its previous high.

The earlier launch of the Galaxy S9 and S9 Plus also allowed mobile to contribute 3.77 trillion won.

Sales of premium products allowed an operating margin of 25.8 percent, up 6.2 percent from a year ago.

In displays, however, flexible OLED suffered from slowing demand and LCD saw more supply drop prices; the business posted 410 billion won compared to 1.3 trillion won a year ago.

Memory will maintain its strong performances in the second quarter, Samsung said, driven by server and mobile DRAM and softening NAND prices. More 10-nanometer application processors and cryptocurrency mining chips will be shipped, but the overall fall of phone components will also have an impact.

Overall earnings will also be challenged by a decline in profitability in mobile and competitors in the high-end. The display business will continue to be weak, it added.

PREVIOUS AND RELATED COVERAGE

Samsung researching quantum dot on MicroLED TVs

The South Korean tech giant is looking into ways to apply quantum dot technology to its MicroLED TV, according to its head of Visual Display.

Samsung begins building $7 billion chip line in China

Samsung Electronics' second line in Xi'an, China, will make V-NANDs to meet high demand in the world's second-largest economy.

Bixby 2.0 coming in Galaxy Note 9, says Samsung mobile boss

Bixby 2.0, an updated version of Samsung's AI assistant, will recognise each individual speaker when spoken to by multiple people and will be unveiled with the Galaxy Note 9 at the earliest, the company says.

Samsung commits to foldable OLED phones for 2018

Samsung Electronics has committed to launching a foldable OLED phone this year to cement its premium leadership for its revived mobile business, while it expects steady growth for its chip business.

With Galaxy S9, Samsung kicks it up without a notch

The Galaxy S9 may look nearly identical to its predecessor but holds many tweaks below the surface that address key smartphone criteria such as image capture, audio output and productivity.

Samsung Galaxy S9: The best feature no one's talking about (TechRepublic)

Plenty of ink is being spilled about the speed, the design, and the camera of Samsung's latest flagship smartphone. But, its battery life is what makes it an excellent choice for professionals.

Newsletters

You have been successfully signed up. To sign up for more newsletters or to manage your account, visit the Newsletter Subscription Center.
See All
See All